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Page 1: SOCIO-ECONOMIC PROFILE OF MIGRANT STEEL … JULY 2013... · SOCIO-ECONOMIC PROFILE OF MIGRANT STEEL WORKERS: ... traditional socio-economic relations in the rural areas and people

TRANS Asian Research Journals

http://www.tarj.in 69

A Publication of TRANS Asian Research Journals

AJMR Asian Journal of Multidimensional Research

Vol.2 Issue 7, July 2013, ISSN 2278-4853

SOCIO-ECONOMIC PROFILE OF MIGRANT STEEL WORKERS:

A STUDY OF MANDI GOBINDGARH, PUNJAB

Madhur*

*Department of Economics,

Panjab University,

Chandigarh, India.

ABSTRACT

Migration is a human phenomenon caused due to social, economic and

psychological factors. Punjab’s prosperity in post independent period especially in

“Green Revolution” and subsequent development in industrial sector created

situation by which large chunk of labour specially from Uttar Pradesh and Bihar

find better employment opportunity in Punjab. Based on the primary and secondary

data, this paper is an attempt to analyse the socio-economic conditions of migrant

steel labourers in Mandi Gobindgarh, Punjab.

KEYWORDS: Migration, Socio-Economic Profile, Migrant Labourer.

______________________________________________________________________________

INTRODUCTION

Migration of workers is a human phenomenon which has historical roots and wider implications.

The term migration is very broad. It generally refers to shift from a place of residence to another

place for some length of time or permanently including different types of voluntary movements.

Economic history of world, however, shows that the human migration is the natural

manifestation of socioeconomic and technological growth/development. The normal course of

migration is that it takes place from relatively low developed to high developed regions/

countries.

It has great impact on economic, social, cultural and psychological life of people, both at place of

emigration as well as of migration (Kaur, 2003)1. In India, the labour migration is mostly

influenced by social structures and pattern of development. Uneven development is the main

reason of migration along with factors like poverty, landholding system, fragmentation of land,

lack of employment opportunities, large family-size and natural calamities. The high-land man

ratio, caste system, lawlessness and exploitation at native place speed up the breakdown of

1 Kaur, Amandeep (2003), Pattern of Utilization of Remittances of NRIs in Doaba Village of Punjab, M. Phil thesis,

Department of Economics, Punjabi University, Patiala.

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TRANS Asian Research Journals

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A Publication of TRANS Asian Research Journals

AJMR Asian Journal of Multidimensional Research

Vol.2 Issue 7, July 2013, ISSN 2278-4853

traditional socio-economic relations in the rural areas and people decide to migrate to relatively

prosperous areas in search of better employment and income (Kaur, 2011)2.

Punjab’s prosperity in post independent period specially in “Green Revolution” and subsequent

development in industrial sector, created situation by which large chunk of labour specially from

Uttar Pradesh and Bihar find better employment opportunity in Punjab. Thus, Punjab has

historically been associated with tremendous population movements both national and

international and is considered economically better-off state than Bihar and U.P. And it is, thus,

the obvious reason for the migration of these poor rural migrants to Punjab (Ghuman, 2010)3.

With the dominant pattern of rural to urban migration within Punjab and inflow of migrant

labour from other backward states, there was a simultaneous increase in out-migration of Punjabi

workers to other developed countries for still better economic prospects. A major proportion of

the migrant labour force working in the industrial sector of Punjab hails from U.P and Bihar.

They are mostly illiterate and belong to younger age group and with large family size back

home. Friends, relations and Influential people of their village employed in Punjab are generally

instrumental in getting them migrated and finding the job. Regarding factors influencing

migration from their state of origin are better prospects and regular employment, security of

jobs, higher wage rate, better living condition etc. Along with those “Pull factors ’ , the push

factors include lack of employment, low wages, poverty, natural disasters, and indebtedness as

also feudal power structure and associated social repression. Thus, with this an attempt has been

made to explore the socio-economic conditions of migrant steel labourers in Mandi Gobindgarh,

Punjab.

DATA BASE AND METHODOLOGY

The study has been conducted in Steel town of Punjab that is, Mandi Gobindgarh, Punjab for the

year 2013. This area has been purposively chosen as it is the largest steel market all over Asia

and majority of the steel operations are performed by migrant labourers.

From this area, a simple random sampling technique was used to select five units where a sample

of 10 workers from each mill was taken and thus, an aggregate sample of 50 workers- 23 local

and 27 migrant- was selected. The primary data for the study have been mainly generated

through a comprehensive questionnaire through personal interview method.

2 Kaur, Baljinder, Singh J.M., Garg B.R., Singh, Jasdev and Satwinder Singh (2011), “Causes and Impact of Labour

Migration: A Case Study of Punjab Agriculture”, Agricultural Economic Research Review, Vol. 24, pp. 459-466. 3 Sethi, Saurabh, Ghuman, Ranjit Singh and Wilfred Isioma Ukpere (2010), “Socio-economic analysis of the

migrant labourers in Punjab: An empirical analysis”, African Journal of Business Management, Vol. 4(10), pp.

2042-2050, 18 August.

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TRANS Asian Research Journals

http://www.tarj.in 71

A Publication of TRANS Asian Research Journals

AJMR Asian Journal of Multidimensional Research

Vol.2 Issue 7, July 2013, ISSN 2278-4853

MAIN FINDINGS OF THE STUDY

PLACE OF ORIGIN: It was revealed that out of 50 respondents (23 local and 27 migrant),

77.78% (21) of migrant workers belongs to U.P. and 22.22% (06) belonged to Bihar. The

interesting feature that came into notice is that all the (100%) respondents were found to be from

rural areas.

Survey reveals that 77.78% (21) of migrant workers have directly migrated to Mandi Gobindgarh

(Punjab) while only 22.22% (06) of workers first migrated to other states and then to Mandi

Gobindgarh (Punjab). This implies that majority of workers have come directly to Mandi

Gobindgarh as their friends and relatives were already working here and they helped them to

migrate and get employment. This indicates that rural to urban migration is the dominant pattern

among the different patterns of migration.

AGE AT THE TIME OF MIGRATION: The Table 1 clarifies that 81.48% (22) migrated in

the age group of 12-20 years followed by 14.82% (04) in the age group of 21-29 years and

03.70% (01) in the age group of 30- above years. It signifies that due to pull and push factors, the

migrant labourers are forced to leave their native places during a relatively younger age.

FACTORS RESPONSIBLE FOR MIGRATION: It has been observed that all of the sampled

migrant workers migrated to Mandi Gobindgarh, Punjab due to social, economic and

psychological factors. Social factors include less civic ammenities; economic factors include

push factors viz; poverty, low wage rate, unemployment at their native place and pull factors viz;

better employment oppurtunities, high wage rates and better income and other facilities and

psychological factors include poor life. All these factors lead to migration.

TABLE 1: DISTRIBUTION OF RESPONDENTS ON THE BASIS OF DIFFERENT

ASPECTS OF MIGRATION

Variables Migrant Workers (n=27)

Place of Origin

U.P. 21 (77.78)

Bihar 06 (22.22)

Total 27 (100)

Age at the time of Migration

12-14 04 (14.82)

15-17 08 (29.63)

18-20 10 (37.03)

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A Publication of TRANS Asian Research Journals

AJMR Asian Journal of Multidimensional Research

Vol.2 Issue 7, July 2013, ISSN 2278-4853

21-23 01 (03.70)

24-26 02 (07.41)

27-29 01 (03.70)

30- above 01 (03.70)

Total 27 (100)

Note: Figures within the bracket indicates percentage of the total respondents.

AGE GROUP AT THE TIME OF SURVEY: According to socio-economic profile (Table 2)

of the respondents, migrant workers in the age group of 17-27 years constitute 44.45% (12)

followed by 25.93% (07) in the age group of 28-38 years and workers in the age group of 39-49

years constitute 14.81% (04). However, the least number of workers that is 11.11 % (03) and

03.70% (01) falls in the categories of 50-60 years and 61- above years respectively. Thus

majority of the migrants fall in the younger age group of 17-27 years because it is the preferred

segment by the employers and also, this age group has to shoulder majority of social and

demographic responsibility.

GENDER: The distinguishing feature which came into notice is that all (100%) respondents are

males. There is no single female worker in all the five units visited. This implies that female

workers do not prefer to work in the rolling mills due to occupational hazards and work place

stress and also, employers prefers male workers in order to achieve higher efficiency, economy

of cost and other supplementary benefits. Therefore, women employment in this sector is almost

negligible.

MARITAL STATUS: The majority that is, 77.78% (21) of migrant workers are married as

shown in Table 2. This means that married workers are the main earners of their families.

CASTE AND RELIGION: By looking at caste wise distribution of respondents, majority of

migrant workers that is, 37.04% (10) each belong to OBC and SC categories followed by 22.22%

(06) to General category and 03.70% (01) to ST category. This means that majority of workers

belong to SC and .backward castes. Gill (2012)4 also finds that labour both in rural and urban

areas mostly belongs to SC, ST, OBC and minorities. As far as religion of the workers was

concerned, all of the migrant workers (100%) belong to Hindu community.

EDUCATION: Education is a crucial input for development as it enables a person to understand

his surroundings and environment in particular and to acquire information for promotion of his

or her interests. In other words, education is the backbone and foundation of getting a job and

performing better in the job. The right to education has been described as basic human right.

Education is known as the third eye of the human beings. A man without education is equal

4 Gill, Sucha Singh (2012), “Distribution of Income and Share of Wages in India: Labour under a Globalised

economy”, Indian Journal of Labour Economics, Vol. 55 (1), January-March.

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A Publication of TRANS Asian Research Journals

AJMR Asian Journal of Multidimensional Research

Vol.2 Issue 7, July 2013, ISSN 2278-4853

animal (Ghuman, Ukpere and Sethi, 2012)5. Thus, education is the key that opens the doors of

life.

From Table 2, the 37.04% (10) of migrant workers have education upto Middle level followed

by 25.93% (07) with Matric level education and 14.81% (04) with Primary level education. Also,

it has been observed that average years of education are 8 years for each worker. The overall

picture indicates that literacy level is low among migrant workers.

MONTHLY INCOME: It is the low income in the native place which induces migration to the

areas with better livelihood opportunities. In this study, monthly income of the 37.04 % (10) of

the migrants is in the range of Rs. 5001-7000 followed by 33.33% (09) migrants in the range of

Rs. 3000-5000, 14.81% (04) in the range of Rs. 7001-9000 while 7.41% (02) each in the range of

9001-11000 and 11001-above each (Table 2).

TABLE 2: DISTRIBUTION OF THE RESPONDENTS ACCORDING TO THEIR

SOCIAL BACKGROUND

Variable Migrant Workers (N= 27)

Age

17-27 12 (44.45)

28-38 07 (25.93)

39-49 04 (14.81)

50-60 03 (11.11)

61-above 01 (03.70)

Total 27 (100)

Marital Status

Married 21 (77.78)

Unmarried 06 (22.22)

Total 27 (100)

5 Sethi, Saurabh, Ghuman, Ranjit Singh and Wilfred Isioma Ukpere (2010), “Socio-economic analysis of the

migrant labourers in Punjab: An empirical analysis”, African Journal of Business Management, Vol. 4(10), pp.

2042-2050, 18 August.

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TRANS Asian Research Journals

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A Publication of TRANS Asian Research Journals

AJMR Asian Journal of Multidimensional Research

Vol.2 Issue 7, July 2013, ISSN 2278-4853

Caste

General 06 (22.22)

OBC 10 (37.04)

SC 10 (37.04)

ST 01 (03.70)

Total 27 (100)

Religion

Hindu 27 (100)

Muslim 00

Sikh 00

Total 27 (100)

Education

Illiterate 06 (22.22)

Primary 04 (14.81)

Middle 10 (37.04)

Matric 07 (25.93)

Total 27 (100)

Monthly Income

3000-5000 09 (33.33)

5001-7000 10 (37.04)

7001-9000 04 (14.81)

9001-11000 02 (07.41)

11001-above 02 (07.41)

Total 27 (100)

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AJMR Asian Journal of Multidimensional Research

Vol.2 Issue 7, July 2013, ISSN 2278-4853

Note: Figures within the bracket indicates percentage of the total respondents.

FAMILY SIZE: Table 3 shows that majority of the migrant workers (33.33%) have family size

in the range of 3 to 4 followed by 29.63% have in the range of 5 to 6, 25.93% in the range of 7

to 8, 7.41% (02) in the range of 11-above and 3.70% (01) in the range of 9 to 10.

PATTERN OF LIVING: The 33.33% of migrant workers live among group of workers

followed by 29.63% (08) living alone and 22.22% (14) live with their families. Only14.82% (04)

of migrant workers lives with their relatives. Also, it can be seen migrant workers collectively

take a room/house on rent and share the rent, simply aiming to save money. Results show that

55.55% of migrant workers share room with 1 to 5 people while 44.45% donot share. Those

workers who do not share accommodation imply that either they are paying rent or they live in

the mill quarters provided by the employer. Nevertheless, collective living is mainly due to

economic reason: cost cutting. Of course, the sense of security and community feeling are other

important reasons behind such a tendency of living together.

MONTHLY RENT: Table 3 shows majority of the migrant workers that is 77.78% (21) pays

monthly rent as against 22.22% (06).

TABLE 3: DISTRIBUTION OF RESPONDENTS ON THE BASIS OF THEIR

HOUSEHOLD CHARACTERISTICS

Variables Migrant Workers (n=27)

Family Size

1-2 0

3-4 09 (33.33)

5-6 08 (29.63)

7-8 07 (25.93)

9-10 01 (03.70)

11- above 02 (07.41)

Total 27 (100)

Pattern of Living

Alone 08 (29.63)

Family 06 (22.22)

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Note: Figures within the bracket indicates percentage of the total respondents

PROBLEMS FACED BY MIGRANT LABOURERS

Migrant workers are the highly disadvantaged group due to number of problems faced by them.

Unhygienic living conditions have led to deplorable living conditions which have increased the

health hazards of migrant workers making them more susceptible to diseases and infection.

Majority of the workers live without their families and donot possess assets which have led to

social isolation .Lack of basic ammenities available to the workers is another major problem

faced by them. Since, they are conscious about ground reality in their parent states, where they

would not be in position to get remunerative job. Hence, they have no choice but to continue.

RECOMMENDATIONS

The main policy implications and recommendations on the basis of analysis and field

observations are as follows:

Relatives 04 (14.82)

Other workers 09 (33.33)

Total 27 (100)

Sharing Accommodation

0 12 (44.45)

1 03 (11.11)

2 03 (11.11)

3 05 (18.52)

4 01 (03.70)

5 03 (11.11)

Total 27 (100)

Monthly Rent

Do not pay rent 06 (22.22)

Pays rent 21 (77.78)

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Vol.2 Issue 7, July 2013, ISSN 2278-4853

Education level is very low, they work at lower positions due to their poor productivity. Hence,

they get poor wages and they cannot claim for more. If education level of workers is improved

then their productivity will increase and they will be able to perform better and earn more. For

educational development, the mill owners and government should establish educational institutes

and training centers to make them educated about different rules and regulations as well as make

them aware of their responsibilities.

Wages and salaries are not sufficient to lead a decent life, it may be hiked.

As the main reasons behind migration are unemployment and poverty, there is an urgent need to

find out ways and means to supplement their incomes at their native places. It is very crucial to

create employment opportunities in their native places.

There is also a need to evolve some institutional mechanism to protect the migrant labourer from

the discrimination and ill-treatment they face at working place and also in the society. Their

living conditions also need to be improved. Most of the migratory workers, sometimes hesitate to

visit their families because of transport expenses. The railways may evolve some policy to issue

a concessional ticket, may be twice a year, so that they may feel encouraged to visit their close

relatives at their native place. It is the duty of our state and central government to aware these

migrant labourers of the drawbacks pertaining from the consumption of intoxicants like bidi,

tobacco etc. There is no doubt that our central government has got a lot of success and positive

response with the implementation of NREGA in our country but there is a dire need of these kind

of some more policies. Since, all the migrant labourers are working in the unorganized sector, the

government must take some policy initiatives to improve their socio-economic conditions and

also introduce some social security measures.

CONCLUSION

The steel sector in Mandi Gobindgarh contributes to the development of the country in general

and to the development of Punjab in particular. Due to participation in this income generating

sector, the life and status of steel workers in the society got upgraded. However, largely, the

condition of migrant steel workers is very frustrating. They face various crises and the print

media had written many reports had aired many pathetic stories on their low wages, unfriendly

working environment, health issues, nutrition, insurance, etc. but feeble measures have been

taken so far to address these problems. Overall, these problems are hampering the production and

environment of the steel sector and if these obstacles are not removed, the sector may be affected

more and more in the coming days. Last but not the least, steel workers, who are the major

workforce behind this sector, must be recognized properly and concrete ideas and their

implementation should come to lessen the plight of them. Unless and until the basic rights of the

workers are ensured, it may not be expected that this sector will achieve its desired goal. If the

recommended measures are implemented then it may improve the present situation and the

workers and owners may achieve their goal.

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Gill, Sucha Singh (2012), “Distribution of Income and Share of Wages in India: Labour under a

Globalised economy”, Indian Journal of Labour Economics, Vol. 55 (1), January-March.

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Agricultural Labour in Punjab”, Department of Economics, Punjabi University, Patiala;

sponsored by the Punjab State Farmers Commission, Govt. of Punjab.

Kaur, Amandeep (2003), Pattern of Utilization of Remittances of NRIs in Doaba Village of

Punjab, M. Phil thesis, Department of Economics, Punjabi University, Patiala.

Kaur, Baljinder, Singh J.M., Garg B.R., Singh, Jasdev and Satwinder Singh (2011), “Causes and

Impact of Labour Migration: A Case Study of Punjab Agriculture”, Agricultural Economic

Research Review, Vol. 24, pp. 459-466.

Sethi, Saurabh, Ghuman, Ranjit Singh and Wilfred Isioma Upkere (2010), “Socio-Economic

Analysis of the Migrant Labourers in Punjab: An Emperical Analysis”, African Journal of

Business Management, Vol. 4 (10), pp. 2042-2050, 18 August.